Abercrombie & Fitch Company

Abercrombie & Fitch's modeled fair value has been lifted from US$122.00 to US$163.55, a roughly 34% increase, alongside a wave of analyst price target changes. BMO Capital initiated coverage at Outperform with a US$170 target, Argus moved to Buy with a US$162 target after Q2 results, and UBS, Jefferies and Goldman Sachs raised their targets to US$153, US$135 and US$124 respectively. Barclays upgraded to Equal Weight with a US$114 target, citing reduced tariff pressure and healthier promotions, while Raymond James stepped back to Market Perform without a target, flagging mixed same store sales. The updated model raised the revenue growth assumption from 3.68% to 4.84%, the net profit margin assumption from 8.57% to 8.99%, and the future P/E multiple from 11.53x to 12.95x, while cutting the discount rate from 8.84% to 8.67%.

Abercrombie & Fitch Co. expects to deliver approximately 130 net new store experiences in fiscal 2026, comprising 50 new stores and 80 remodels and rightsizes against roughly 20 closures. The new stores are expected to be relatively balanced across the Abercrombie and Hollister brands and weighted toward the Americas. Management noted that 2026 marks the company's fifth consecutive year as a net store opener, and said the recently opened Abercrombie SoHo location has performed above expectations, with elements of that concept to be incorporated into additional stores over time. The initiative complements ANF's broader push to expand through digital channels, partnerships and new product categories, though the company said execution will be key as it balances expansion spending with healthy profitability and disciplined capital allocation. Shares of the Zacks Rank #1 (Strong Buy) company have jumped 46% in the past six months, outperforming the industry and the broader Retail-Wholesale sector, which fell 6.1% and 0.7%, respectively.

Abercrombie & Fitch is rated Zacks Rank #1 (Strong Buy), with the consensus earnings estimate for the current fiscal year at $11.42 per share, up 15.8% year over year and revised 0.3% higher over the last 30 days. For the current quarter, the company is expected to post earnings of $3.01 per share, a year-over-year change of +27.5%, with the Zacks Consensus Estimate up 0.8% over the past month. Next fiscal year's consensus estimate of $12.41 indicates a change of +8.6% from what Abercrombie is expected to report a year ago, and that estimate has moved +0.9% over the past month. Revenue is forecast at $1.37 billion for the current quarter, up 5.9% year over year, while current and next fiscal year sales estimates of $5.52 billion and $5.79 billion each indicate +4.8% changes. In the last reported quarter, Abercrombie posted revenues of $1.27 billion, up 4.8% year over year, and EPS of $2.42 versus $2.32 a year ago, beating the Zacks Consensus revenue estimate of $1.24 billion by 1.94% and the EPS estimate by 24.1%.

A $1000 investment in Abercrombie & Fitch made in September 2016 would be worth $8,088.48 as of September 23, 2026, a 708.85% gain excluding dividends, according to Zacks Investment Research calculations. Over the same period, the S&P 500 gained 256.64% and gold rose 213.61%. The retailer operates roughly 850 stores across North America, Europe, Asia and the Middle East and reports under three geographic segments: Americas; Europe, the Middle East and Africa; and Asia-Pacific. Management raised its fiscal 2026 sales, margin and earnings outlook, and the stock has jumped 25.08% over the past four weeks, with the consensus fiscal 2026 estimate moving higher as no estimate went lower in the past two months against three that rose. The outlook is tempered by flat overall comparable sales, negative comps at Hollister and EMEA, freight and operating-cost burdens, and reliance on tariff refunds for part of margin expansion.

Abercrombie & Fitch has been rated Zacks Rank #1 (Strong Buy) on the strength of recent upward revisions to consensus earnings estimates. The teen clothing retailer is expected to post earnings of $3.01 per share for the current quarter, a year-over-year change of +27.5%, with the Zacks Consensus Estimate up +7.6% over the last 30 days. For the current fiscal year, the consensus earnings estimate of $11.42 indicates a year-over-year change of +15.8% and has risen +7.7% over the past month, while the next fiscal year's estimate of $12.41 points to a +8.6% change and has moved +8.1% in the same period. Revenue is forecast at $1.37 billion for the current quarter, up +5.9% year over year, with fiscal-year consensus sales estimates of $5.52 billion and $5.79 billion, each implying a +4.8% change. In its last reported quarter, Abercrombie posted revenues of $1.27 billion, up +4.8% year over year, and EPS of $2.42 versus $2.32 a year earlier, beating the Zacks Consensus revenue estimate of $1.24 billion by +1.94% and the EPS estimate by +24.1%.

Abercrombie & Fitch Co. reported a strong second quarter, sending shares up nearly 36% in one day, and Jim Cramer advised investors to buy on a pullback rather than chase the rally. The company posted net sales of $1.3 billion, up 5%, and diluted earnings per share of $4.17, compared with $2.91 a year earlier, with operating margin expanding to 19.9% from 17.1%. The earnings beat was partly driven by approximately $100 million in tariff refunds, which contributed $1.75 per diluted share and about 790 basis points to operating margin. Management raised full-year net sales growth guidance to 5% from 3%-5%, diluted EPS guidance to $13.10-$13.60 from $10.20-$11.00, and operating-margin guidance to 14.5%-15% from 12%-12.5%, while planning to repurchase at least $500 million of shares. However, comparable sales were flat overall, with Hollister down 3%, and the tariff benefits are not expected to be structural, so Cramer suggested waiting for a better entry point.

Abercrombie & Fitch is seeing a surge in earnings estimate revisions, prompting analysts to upgrade the stock to a Zacks Rank #1 (Strong Buy). Over the past month, three estimates for the current quarter have moved higher, pushing the consensus estimate up 5.5% to $2.95 per share, a 25% increase from the year-ago period. For the full year, the consensus estimate has risen 7.42% to $11.01 per share, representing an 11.7% gain. The stock has already climbed 49.1% over the past four weeks, and the improving earnings outlook suggests further upside potential.

Abercrombie & Fitch has expanded its partnership with the NFL, bringing its branded apparel to NFLShop.com for the first time through a collaboration with Fanatics. The deal also extends to NFL stadium stores and official team e-commerce sites, with collections aimed at customers of all ages. This move increases the company's exposure in high-profile sports activations and creates potential new revenue streams linked to NFL merchandising. The partnership supports Abercrombie & Fitch's international expansion and new wholesale and digital channels, while also testing risks such as higher fixed costs and intense competition. Investors will watch the company's next earnings update after the 2026 NFL season kickoff for commentary on NFL collection sell-through and its impact on fiscal 2026 guidance of US$13.10 to US$13.60 in net income per diluted share and a 14.5% to 15.0% operating margin.

Abercrombie & Fitch stock skyrocketed 36.2% this week after the company reported fiscal second-quarter earnings that crushed expectations. The company posted adjusted earnings of $4.17 per share, beating the average analyst forecast by $2.21 per share, while revenue rose 5% year over year to $1.27 billion, topping estimates by roughly $20 million. The beat was driven by record performance at its Abercrombie and Hollister brands, along with significant tariff refunds. Looking ahead, the company raised its full-year guidance, expecting sales to grow about 5% over last year's $5.27 billion, with operating margin between 14.5% and 15% and earnings per share between $13.10 and $13.60. Additionally, Abercrombie plans to buy back at least $500 million of its own shares.

Shares of Abercrombie & Fitch Co. surged 35.7% after the company reported second-quarter fiscal 2026 earnings of $2.42 per share, beating the Zacks Consensus Estimate of $1.95 per share. Kohl's Corporation's shares rose 1.5% after it reported second-quarter fiscal 2026 earnings of $1.28 per share, surpassing the Zacks Consensus Estimate of $0.55 per share. Shares of The J. M. Smucker Company jumped 4.3% after the company reported first-quarter fiscal 2027 earnings of $3.24 per share, outpacing the Zacks Consensus Estimate of $2.21 per share. Williams-Sonoma, Inc.'s shares gained 1.2% after the company reported second-quarter fiscal 2026 earnings of $2.1 per share, beating the Zacks Consensus Estimate of $2.05 per share.

Abercrombie & Fitch reported its 15th consecutive quarter of sales growth, with adjusted earnings of $4.17 per diluted share in the second quarter of fiscal 2026, up from $2.33 a year ago, and revenue of $1.27 billion, up 5% year over year, beating Wall Street's consensus estimate of $1.99 per share. The stock soared about 33% as of 12:53 p.m. ET today, driven by a significant raise in full-year guidance: the company now expects sales growth of 5%, up from a prior range of 3% to 5%, operating margin of 14.5% to 15%, up from 12% to 12.5%, and diluted EPS of $13.10 to $13.60, up from $10.20 to $11.00. Part of the boost came from $100 million in tariff refunds related to the Supreme Court's ruling that certain tariffs were illegal, with CFO Robert Ball noting the refunds added about $1.75 to diluted EPS in the quarter and an additional $20 million expected in the third quarter. Excluding the refunds, the core business performed well, with a nearly 20% operating margin, and CEO Fran Horowitz highlighted success across categories and partnerships with the NFL and Target. The company is also repurchasing stock, having bought back 7% of shares since the year began, and plans to return at least $500 million to shareholders in fiscal 2026, with $282 million already repurchased.

Abercrombie & Fitch Co. shares rallied after revenue topped estimates and the retailer raised its annual earnings guidance, suggesting the preppy apparel company is regaining some momentum even after another quarter of slow sales growth. Bloomberg's Mary Ross Gilbert joined Bloomberg Intelligence to discuss their earnings.

Abercrombie & Fitch soared 37% after trouncing fiscal second-quarter estimates and raising its full-year outlook, with adjusted earnings of $2.42 per share and revenue up 5% to $1.27 billion, helped by tariff refunds and stronger growth at its Abercrombie unit. Intuit fell 4% after offering disappointing fiscal year 2027 guidance of $23.3 billion to $23.5 billion in revenue, below the $23.7 billion analyst estimate, though its fiscal fourth-quarter earnings and revenue beat expectations. Meta Platforms jumped 3% after reaching a settlement with state attorneys general in a case alleging it made its apps addictive to teenagers. Zoom Communications dropped 7% after its third-quarter forecast of $1.46 to $1.48 earnings per share missed the $1.50 estimate. Kohl's rose 2% after raising its full-year outlook, partly due to $150 million in tariff refunds, and announced share buybacks of up to $100 million in 2026. J.M. Smucker climbed 3% on fiscal first-quarter revenue of $2.22 billion, topping the $2.13 billion consensus. SolarEdge Technologies jumped nearly 8% after a UBS upgrade to buy, citing an FCC policy expected to boost market share and pricing power. Semtech rose over 8% on second-quarter earnings beat, with adjusted EPS of 71 cents versus 61 cents expected. Boston Scientific fell 5% after reporting a cybersecurity incident causing product disruptions. SAP declined 3% after a UBS downgrade to neutral, citing slow delivery of agentic AI.

Four major retailers reported Wednesday morning, all beating expectations and raising guidance, but a significant portion of those profits came from a Supreme Court decision rather than stronger consumer spending. The court struck down IEEPA tariffs on February 20th, triggering roughly $166 billion in collections from some 330,000 importers, with about $100 billion refunded as of July 31st. Walmart disclosed the largest refund, while Lowe's received $80 million, about one-ninth of Home Depot's amount. Abercrombie & Fitch reported record second-quarter net sales of $1.27 billion, up 5%, and earnings of $4.17 per diluted share, but the IEEPA refund contributed $1.75 per share, making underlying EPS about $2.42. Williams-Sonoma stood out with comparable brand revenue up 6.2%, accelerating from 4.8% last quarter, and raised its full-year outlook. Kohl's beat with EPS of $1.28 against roughly $0.55 expected, and Bath & Body Works beat despite a 2.3% sales decline. The macro data shows consumers feel better about today but worse about tomorrow, with core PCE rising 0.2% month over month. Investors should normalize for tariff refunds, watch how retailers deploy the windfall, and focus on companies that didn't need the help, like Williams-Sonoma and Sam's Club.

Abercrombie and Fitch reported first quarter revenues of $1.11 billion, up 1.5% year on year, falling short of analysts' expectations by 0.8%. The company beat EBITDA estimates but its EPS guidance for next quarter missed significantly. CEO Fran Horowitz cited record first quarter net sales and a 14th consecutive quarter of growth, driven by the Americas and APAC, while EMEA demand softened due to the Middle East conflict. The company returned $105 million to shareholders through share repurchases. The stock is up 41.1% since reporting and currently trades at $105.53.

Hollister Co., a division of Abercrombie & Fitch Co., has launched its women's fall denim campaign featuring rising pop star Freya Skye. The campaign, titled "Made for this Moment," celebrates self-expression and confidence with a collection that includes ultra-low rise, baggy fits, and adjustable waist styles, available now in sizes 00 to 20 starting at $49.95. The partnership extends beyond the campaign to include limited-edition product, Hollister's sponsorship of Freya Skye's North America, UK, and European tour, and exclusive in-store appearances across the U.S. and Europe this fall. Freya Skye, who has amassed over 2.5 billion streams and 5 million social media followers, said the brand's laidback style reflects her life moving between everyday moments and the stage. The campaign will roll out across digital, social, and in-store channels with exclusive content inspired by Freya's world in music.

Abercrombie & Fitch opened a new flagship store in New York City's SoHo district at 520 Broadway on June 5. The three-floor location introduces the brand's 'Heritage Meets Modern' design concept, blending archival storytelling with updated aesthetics to honor the company's 134-year history in New York. The store offers an expanded assortment of men's and women's apparel, including signature denim and exclusive city-themed merchandise, along with a new accessories department featuring footwear, sunglasses, and bags. The space also includes curated displays of historical apparel, heritage-inspired furnishings, and a dedicated activation area designed to resemble a classic New York hotel bar. Later this month, the company's sister division, Hollister, will open a new location nearby at 547 Broadway.

Target is bringing a Hollister home and décor collection to its stores under a new multi-season partnership. The collaboration, owned by Abercrombie & Fitch, introduces a youth-focused lifestyle brand into Target's home aisles and expands its trend-driven assortment. The cross-category move aims to connect apparel loyalists with Target's broader home offering through exclusive collections. Target shares trade around $140.39, up 39.7% year to date and 47.7% over the past year, though down 33.7% over five years.

Abercrombie & Fitch shares have gained about 8.7% since its last earnings report, outperforming the S&P 500. The company posted first-quarter fiscal 2026 earnings per share of $1.47, beating the Zacks Consensus Estimate of $1.26, though net sales of $1.11 billion missed the $1.12 billion estimate. Net sales rose 2% year over year, driven by a 3% increase in the Americas and a 24% surge in APAC, while EMEA sales fell 10%. By brand, Abercrombie net sales grew 3% to $564.7 million, while Hollister sales were essentially flat at $549.1 million. Management maintained its fiscal 2026 outlook for net sales growth of 3% to 5% and operating margin of 12% to 12.5%, with net income per share expected between $10.20 and $11.00.

Hollister is increasingly proving to be an important growth engine for Abercrombie & Fitch, despite delivering flat sales in the first quarter of 2026 against a difficult comparison that included 22% growth in the year-ago period. Management emphasized that the brand continued to perform well in its core markets, particularly the Americas and APAC, where positive traffic trends and strong customer engagement supported results. Categories such as graphic tees, shorts, swimwear and other warm-weather products performed particularly well, and the brand remains in chase mode to quickly respond to emerging trends. Marketing initiatives, including a graduation-season campaign featuring singer Gigi Perez and a partnership with Italian sportswear brand Kappa ahead of the upcoming World Cup, are strengthening Hollister's appeal among younger shoppers. While geopolitical disruptions in the Middle East and weaker demand in parts of Europe weighed on overall performance, executives highlighted continued strength in the Americas and expectations for full-year growth.

Target shares rose 3.5% after Wolfe Research upgraded the stock to Outperform from Peer Perform, naming it a Top Pick with a Street-high $162 price target. Analyst Spencer Hanus cited better-run stores and positive new-customer trends, raising 2026 EPS estimate to $8.48 and 2027 to $9.52, above consensus. The upgrade follows first-quarter results showing net sales of $25.44 billion, up 6.7%, with comparable sales up 5.6% driven by 4.4% traffic growth and a 24.6% jump in high-margin non-merchandise revenue. Separately, Target announced a first-time multi-season collaboration with Abercrombie & Fitch's Hollister brand, launching nearly 60 products across apparel and Hollister-branded home and décor items. The stock closed at $134.12, up 3.4%.

Target appointed designer Isaac Mizrahi as its first creative director at large and announced a multi-season home, décor and loungewear collaboration with Hollister Co., a division of Abercrombie & Fitch, launching June 28 across digital channels and most Target stores. These moves aim to refresh Target's style credentials and deepen relevance with younger shoppers through design leadership and branded partnerships. The company also raised its quarterly dividend for the 55th consecutive year to US$1.16 per share, signaling management's confidence in cash generation even as it commits about US$5,000,000,000 of 2026 investment. Target's narrative projects US$110.5 billion revenue and US$3.7 billion earnings by 2028, requiring 1.4% yearly revenue growth and a US$0.5 billion earnings decrease from US$4.2 billion today. The most optimistic analysts assume revenue could reach about US$120,400,000,000 and earnings US$4,600,000,000 by 2029.

Hollister Co. is entering the home and décor category for the first time through a multi-season partnership with Target. The Hollister Collection at Target launches June 28 on hollisterco.com, Target.com, in most Target stores, and in select Hollister stores, with the first drop including nearly 60 items across men's and women's apparel and bedding. Bedding, offered in twin/twin XL and full/queen, includes comforters and sheets priced from $34.95 to $64.95, while accessories such as wearable throw blankets, decorative pillows, and weighted plushies range from $19.95 to $39.95. Apparel includes fleece tops and bottoms, men's sleep pants, and women's sleep shorts priced from $24.95 to $49.95 in sizes XS to XL. New product drops are planned ahead of the holiday season and in spring 2027.